Notice: Vacate your home in five days

April 13, 2018 by  

Condominium owners could have their properties bought out from under them – unless the Legislature amends Arizona’s Condominium Act this session.  A few months ago ABC-15 reported how an investment group legally bought out 80% of the owners at a condominium complex – triggering a law allowing them to take over the remaining 20% of the properties even though they did not want to sell.

Arizona and a handful of other states passed the Condominium Act in 1985 – allowing the practice. SB 1084 – now HB 2262 – would restore fairness for property owners caught in this situation in the future.

Right now a property owner who is forced to move due to the 80% rule has no recourse but to abide by the appraisal price decided by the buyer/investor-chosen appraiser, which can be thousands of dollars less than market value.  HB 2262 requires a second independent appraisal and puts into place a fairer process of determining the selling price if there is a difference between the new and the original appraisals.  In any case, the cost must include 5% for relocation costs.  It’s not a perfect solution for a person or a family that is faced with an unwanted move, but at least the property is purchased based on a fairer market value – plus the cost of an inconvenient move.

 

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